Las Vegas home builder Paul Wagner, 59, has been sentenced to 14 years in prison for his role in a mortgage fraud scheme that cost financial institutions over $18 million. Wagner was convicted of conspiracy to commit bank fraud and wire fraud, six counts of bank fraud, and three counts of wire fraud.
The scheme, which ran from 2007 to 2009, involved Wagner inflating the value of homes to secure mortgage loans. He would then use the inflated values to pay cash incentives to buyers and real estate agents, while concealing the incentives from lenders.
Using this scheme, Wagner sold approximately 85 houses, with most of them going into foreclosure after he stopped making the mortgage payments. The losses to financial institutions were staggering, totaling over $18 million.
Wagner’s scheme was investigated by the FBI and prosecuted by Assistant U.S. Attorney Daniel R. Schiess.
The case is part of the efforts of President Obama’s Financial Fraud Enforcement Task Force (FFETF), which was created in November 2009 to combat financial crimes. Since its formation, the task force has made significant strides in investigating and prosecuting financial crimes.
Wagner was sentenced on July 22, 2013, by U.S. District Judge Miranda M. Du. He was also ordered to pay $4.4 million in restitution and serve five years of supervised release after his prison term.
Related Federal Cases
- Steven E. Jones, Wire Fraud, Nevada 2019 · Idaho
- Howard Hsu, Tax Fraud Conspiracy, Nevada 2024 · Indiana
- Sean Christopher Sladek, Investment Fraud Scheme, Nevada 2024 · California
- Ofelia Ronquillo, Tax Return Fraud, Nevada 2024 · Pennsylvania
- Walter Fabian Guzman, Tax Return Fraud Conspiracy, Nevada 2010 · Maryland
Key Facts
- State: Nevada
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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